The second BRIC Summit in 2010 leaders recognised the need for fostering and strengthening cooperation regarding the regulation and supervision of all segments, institutions and instruments of financial markets. They also underlined their commitment to improve their own national regulations, to push for the reform of the international financial regulatory system and to work closely with international standard setting institutes. The broad contours of the position taken by the BRICS leaders in respect of the governance of the financial sector may seem adequate. However, a number of occurrences since the last Summit suggest that the BRICS would need to take a more focused view of it. The study would focus on two such occurrences that merit attention by BRICS for these could affect these countries quite significantly.
The first is the strengthening of the banking sector regulations, the framework of which was adopted by the Basel Committee for Banking Supervision in 2010. The second relates to the impact of the quantitative easings undertaken by the US administration. The increase in capital flows triggered by this action threatened to cause an indirect currency war. To keep their currencies competitive several major economies are taking recourse to capital controls.
Myanmar Research and Capacity Building Project
Improving capacity of human resources is essential for Myanmar’s prosperity, continued growth, and most importantly, economic integration with India. CAR along with a host of organisations of India and Myanmar with participation of Sussex University, Jadavpur University, UNESCAP, etc., has taken up this project. The objective is to train Myanmar officials and researchers on contemporary global and regional economic issues and build analytical capacity.
The first training programme would soon be held and the first phase of this programme will continue till March 2015.
Assessing Impacts of Economic Corridors
The study develops an economic geography model to be tested with sub-national data, and assesses the impact of economic (transport) corridors in India with special reference to Indian states in terms of growth. Four important corridors, connecting India with eastern neighbours, have been selected, viz. (i)BCIM-Economic Corridor, (ii) East-West Corridor (part of Golden Quadrilateral project), (iii) Trilateral Highway, and (iv) Kalandan multimodal transit transport project. The study is ongoing and expected to be completed by early 2015.
